Russia: Rouble experiences greatest depreciation since January 2009
September 1, 2011
By 31 August, the Russian rouble (RUB) had depreciated 4.1% in nominal terms over the previous month and traded at RUB 28.86 per USD. The August depreciation contrasted the 1.4% appreciation observed in July and, in fact, marked the fastest monthly depreciation since January 2009. In addition, the end-of-month reading marked the lowest level at which the RUB was traded over the last six months. Despite the monthly drop, the rouble has now appreciated an accumulated 5.6% versus the USD this year and, at the current level, is trading 6.2% stronger than in the same month last year The rouble depreciated as prices for Ural oil, Russia's main export commodity, moderated amid deteriorating prospects for the global economy, implying a decline in oil demand going forward.
Author: Armando Ciccarelli, Head of Data Solutions